-- Posted Thursday, 8 February 2007 | Digg This Article
| Close | Gain/Loss |
Gold | $657.70 | +$5.50 |
Silver | $13.68 | +$0.05 |
XAU | 141.91 | +1.90% |
HUI | 340.75 | +2.50% |
GDM | 1091.07 | +1.89% |
JSE Gold | 2729.29 | -1.32% |
USD | 84.69 | -0.02 |
Euro | 130.34 | +0.25 |
Yen | 82.61 | -0.20 |
Oil | $59.71 | +$2.00 |
10-Year | 4.730% | -0.015 |
T-Bond | 111.09375 | +0.125 |
Dow | 12637.63 | -0.23% |
Nasdaq | 2488.67 | -0.07% |
S&P | 1448.31 | -0.12% |
The Metals:
Gold traded near unchanged for most of trade in Asia and about $2-$4 lower for most of trade in London, but it then rallied higher throughout most of trade in New York and rose to about $660 in early afternoon trade before it fell off slightly into the close and ended with a gain of 0.84%. Silver dropped to as low as $13.45 at the open in New York before it also rallied higher for most of the rest of trade and ended with a gain of 0.37%.
Euro gold rose to over €505, platinum lost $4 to $1,195, palladium lost $7 to $337, and copper remained at about $2.42.
Gold and silver equities started the day off slightly lower, but they then steadily rose throughout the rest of trade and ended with about 2% gains.
The Economy:
Report | For | Reading | Expected | Previous |
Initial Claims | 2/03 | 311K | 310K | 308K |
Wholesale Inventories | Dec | -0.5% | 0.6% | 1.1% |
There are no major economic reports due out tomorrow.
The Markets:
Charts Courtesy of http://finance.yahoo.com/
Oil rose late in the day and got back near $60 after news came out that an Occidental Petroleum oil field in California caught fire on Tuesday and there was no time frame as to when it would restart. Cold weather and increased geopolitical worried over Iran and Nigeria also had traders buying.
The U.S. dollar index remained in a tight range near unchanged ahead of this weekend’s G7 meeting, but it did fall slightly as the euro found some strength on indications that the ECB will hike interest rates at their next meeting in March.
Treasuries rose after a strong 30-year note auction capped the third and final leg of the Treasury’s $38 billion in quarterly refunding this week.
The Dow, Nasdaq, and S&P fell despite mostly strong retail sales reports as worries about the housing market had traders nervous, but all three indices did pare their losses by the close and ended just marginally lower.
Among the big names making news in the market today were New Century, Aetna, HSBC, Circuit City, Toll Brothers, Kodak, PepsiCo, and McDonald’s.
The Commentary:
“For years GATA has heard from the know-nothings that IF there is a gold price manipulation scheme, the price-fixers are doing a lousy job … one only has to look at gold rising year after year, say they. These people do a serious disservice to the gold world because they are too lazy to do their homework … they have no idea what this is all about.
Why? The Gold Cartel has no choice but to let the price of gold rise, gradually for now, explosively later, because they are running out of available central bank gold to ration demand, as mentioned above. The only way to slow down demand is by price rises … to create "Sticker Shock." In this way The Gold Cartel can conserve what gold they have left. As is, the cabal crew is on a short leash, as their sources of supply are gradually going the way of the Dodo bird. They surely know it and are probably working overtime trying to work on deals to elicit supply.” - From yesterday’s Midas report by Bill Murphy of LemetropoleCafe.com
“April Gold finished up 5.5 at 662.8, 2.5 off the high and 9.3 up from the low.
March Silver closed up 0.06 at 13.77. This was 0.23 up from the low and 0.11 off the high.
After some initial choppy action early in the session the gold market settled back into a mostly positive track into the close. With the Dollar showing minor weakness and oil prices persistently firming off the weak opening it wasn't surprising to see the metals lifted by renewed buying interest. Reports of fund buying certainly helped to lift gold but with higher oil prices and generally weak equity market action it would seem like there were a number of reasons to favor the bull camp. It is possible that the rise above $661.8 prompted a wave of technical buying in gold, as the trade did see some early intense selling that took prices below the prior two session's lows. In other words, early sellers in gold might have been forced to buy back positions into mid session.
The silver market managed a pretty impressive recovery off its early lows and even managed to discount a lower European fix. With copper prices managing to reject a fairly aggressive early wave of selling, it is possible that some silver buyers were similarly inspired. Not surprisingly the weakness in the equity market was mostly discounted by silver which apparently continues to get most of its direction from the gold and energy trade. In fact, with a strong finish in the energies, the outlook for both gold and silver might be expected to remain positive into the Friday opening.” - The Hightower Report, Futures Analysis and Forecasting
GATA Posts:
Spending spree over as Americans walk tightrope without safety net
S. African Reserve Bank adds 700,000 gold ounces to reserves in January
The Statistics:
As of close of business: 2/7/2007
Gold Warehouse Stocks: | 7,487,683 | - |
Silver Warehouse Stocks: | 114,753,954 | +34,165 |
Global Gold ETF Holdings
[WGC Sponsored ETF’s]
| Product name | Total Tonnes | Total Ounces | Total Value |
New York Stock Exchange (NYSE) AND Singapore Exchange (SGX) | Streettracks Gold Shares | 461.71 | 14,844,449 | US$ 9,701m |
LSE (London Stock Exchange) AND Euronext Paris | Gold Bullion Securities | 87.09 | 2,800,005 | US$ 1,844m |
Australian Stock Exchange (ASX) | Gold Bullion Securities | 10.93 | 351,084 | US$ 231m |
Johannesburg Securities Exchange (JSE) | New Gold Debentures | 10.24 | 329,366 | US$ 212m |
Note: Change in Total Tonnes from yesterday’s data: The NYSE added 3.08 tonnes and the ASX added 0.04 tonnes.
COMEX Gold Trust (IAU)
Profile as of 2/7/2007 | |
Total Net Assets | $915,544,252 | Ounces of Gold
in Trust | 1,403,670.518 |
Shares Outstanding | 14,150,000 | Tonnes of Gold
in Trust | 43.66 |
Note: No change in Total Tonnes from yesterday’s data.
Silver Trust (SLV)
Profile as of 2/7/2007 | |
Total Net Assets | $1,631,729,360 | Ounces of Silver
in Trust | 119,551,954.200 |
Shares Outstanding | 12,000,000 | Tonnes of Silver
in Trust | 3,718.48 |
Note: No change in Total Tonnes from yesterday’s data.
The Stocks:
Miramar’s (MNG) drill results, Aurizon’s (AZK) ore extraction, ASA’s (ASA) general meeting results, and Aquiline’s (AQI.TO) drill results were among the big stories in the gold and silver mining industry making headlines today.
WINNERS
1. Cardero | CDY +10.79% $1.69 |
2. Golden Star | GSS+9.17% $3.6901 |
3. Endeavour | EXK +7.48% $4.60 |
LOSERS
1. Almaden | AAU -1.63% $2.41 |
2. U.S. Energy | USEG -1.62% $4.85 |
3. Arizona Star | AZS -1.56% $12.00 |
Winners & Losers tracks NYSE and AMEX listed gold and silver mining stocks that trade over $1.
All of today's gold and silver stock news:
Explor Resources Inc.: Acquisition of the Nelligan Property - More
- February 08, 2007 | Item | E-mail
Western Goldfields Reports Exciting New Drill Results at Mesquite Mine - More
- February 08, 2007 | Item | E-mail
Grandview Signs Sanshaw-Bonanza, Red Lake Property Option Agreement - More
- February 08, 2007 | Item | E-mail
Silvermet Advances its Waelz Kiln Zinc Project in Turkey - More
- February 08, 2007 | Item | E-mail
Madison Minerals Inc.: Drilling Confirms and Expands Lewis Gold Mineralization - More
- February 08, 2007 | Item | E-mail
Production resumes at Aurizon's Casa Berardi mine - "Aurizon Mines Ltd. (ARZ.TO: Quote, Profile , Research) (AZK.A: Quote, Profile , Research) said on Thursday that ore extraction has resumed at its Casa Berardi gold mine in northwestern Quebec after a temporary suspension in late January.
Production was halted Jan. 24 after ground movement, triggered by blasting, caused more ore than expected to fall into the production area. Ground support remediation work has been completed." More
- February 08, 2007 | Item | E-mail
Carat Exploration Inc. - First drilling program completed, Weaver Lake Zone, Seneca Property, BC - More
- February 08, 2007 | Item | E-mail
Milner Granted Title to the San Lucas Mineral Concession - More
- February 08, 2007 | Item | E-mail
International Arimex plans Athabasca Basin exploration - More
- February 08, 2007 |
Gold Seeker Closing Report: Gold & Silver Gain Again